What Does Retirement Look Like With $600,000 in Savings?

Yahoo Finance ·

Many people end up retiring with little to no money saved. If you're approaching your senior years with a $600,000 balance in your individual retirement account ( IRA ) or 401(k), you're doing OK. As of 2022, the last year for which there's data available, the average retirement savings balance among Americans ages 65 to 74 was about $609,000, according to the Federal Reserve. And while stock market gains over the past few years may have inflated that number since, a $600,000 nest egg still puts you in pretty good shape. You may be wondering what retirement might look like with $600,000 saved. While a nest egg that size won't necessarily buy you a life of luxury, it may be more than enough to help you enjoy your senior years. Just because you're retiring with $600,000 doesn't mean you should spend that money at all once. In fact, you absolutely shouldn't do that because your nest egg might need to last for 20 years or longer.

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